Challenge is a term avoided

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Mine's a cuppa ... Peter Costello chats with voters at Caulfield RSL Club in Melbourne yesterday.Photo: Jason South

John Howard has insisted that the Government would continue to be united, stable and harmonious as he played down suggestions he could be challenged as leader by the Treasurer, Peter Costello, if he wins the election and decides to stay the full term.

Asked by a radio talkback caller in Adelaide whether he would stay a full term, the 65-year-old Mr Howard said he would stay as long as his party wanted him and that covered every contingency including staying for the full term.

He said it would not be a problem for his heir apparent, Mr Costello. "We are a great team," Mr Howard said.

Asked if this meant Mr Costello or Tony Abbott would challenge him, Mr Howard said he was certain the unity and stability would continue.

Later, while he was campaigning in Melbourne, Mr Costello was asked whether he thought the party would want the Prime Minister to stay a full term, if the Coalition was returned.

"I am running for Treasurer," he replied. Later he broadened this to say: "I am running for re-election as the Treasurer but we are a team and we are running for re-election together."

The strong expectation of Costello supporters in the Liberal Party is that Mr Howard will depart during the next term, if the Coalition is returned, making Mr Costello Prime Minister.

The issue has continually surfaced throughout the campaign because Mr Howard has not made clear his plans.